Amid warnings that high housing prices and snarled freeways are driving off some manufacturing companies, demand for factory space in Orange County grew more than 15% in the first nine months of the year.
But that wasn't enough to whittle down a vacancy rate of 14%--or 21 million square feet of empty space--in the third quarter, according to a recent survey by real estate firm Coldwell Banker.
In contrast, the national vacancy rate for industrial space was a much lower 5.8% in July, August and September and was only 6.6% in Southern California for the period, according to Coldwell Banker.
Most in Irvine
Much of the construction of industrial buildings during the third quarter was in Irvine, which has a sizable amount of raw land zoned for industrial use.